On November 6, 2023, V2X Inc (VVX, Financial) announced its financial results for the third quarter of 2023. The company reported record revenues of $1.0 billion, marking a 5% increase year-over-year. The company's operating income was reported at $21.0 million, with adjusted operating income of $59.5 million. V2X Inc (VVX) also reported year-to-date cash flow from operations of $135.2 million, and reduced net debt by $88.9 million.
Financial Highlights
V2X Inc (VVX, Financial) reported a strong financial performance in Q3 2023. The company's revenue stood at $1.0 billion, marking a 4.5% increase year-over-year. The operating income was reported at $21.0 million, including merger and integration related costs of $15.8 million, and amortization of acquired intangible assets of $22.6 million. The adjusted operating income was $59.5 million, with an adjusted EBITDA of $64.7 million and a 6.5% adjusted EBITDA margin. The diluted EPS was ($0.21), with an adjusted diluted EPS of $0.73. As of September 29, 2023, the company's net debt stood at $1.1 billion, with a total backlog of $13.3 billion.
Company's Performance and Future Outlook
V2X Inc (VVX, Financial) demonstrated a strong performance in Q3 2023, achieving record revenue and a solid revenue visibility moving into 2024. The company's bookings activity in the quarter was strong at $1.3 billion in awards, yielding a total backlog of $13.3 billion. The company is also leveraging its capabilities to pursue new business and currently has a robust pipeline of opportunities, which includes ~$19 billion of bids planned to be submitted over the next twelve months and over $6 billion submitted and in evaluation.
Based on the business performance, the company is raising the low end and mid-point of its full-year revenue projections. However, given the third-quarter results and outlook, the ranges for adjusted EBITDA and adjusted diluted EPS are being lowered. The company is reaffirming guidance for adjusted net cash provided by operating activities.
Financial Tables
The company's condensed consolidated statements of loss showed a net loss of $6.4 million for the three months ended September 29, 2023. The diluted EPS was ($0.21). The condensed consolidated balance sheets showed total assets of $3.1 billion as of September 29, 2023, with total liabilities of $2.1 billion. The condensed consolidated statements of cash flows showed net cash provided by operating activities of $135.2 million for the nine months ended September 29, 2023.
Explore the complete 8-K earnings release (here) from V2X Inc for further details.
